Shift Work and the Business Cycle

The extreme cyclical sensitivity of shift work in the US is documented. The potential role of shift work in explaining the long-standing puzzle of procyclical productivity is also considered. A simple model is presented in which a 2-shift firm employs fewer workers on the 2nd shift because of the la...

Full description

Saved in:
Bibliographic Details
Published in:The American economic review 1993-05, Vol.83 (2), p.224-228
Main Authors: Mayshar, Joram, Solon, Gary
Format: Article
Language:English
Subjects:
Business cycles
Economic fluctuations
Economic models
Empirical Studies of Capacity Utilization
Employment
Great Depression
Labor
Manufacturing output
Procyclicality
Production estimates
Production workers
Productivity
Scheduling
Shift work
Statistical analysis
Statistical estimation
Studies
Wages & salaries
Working hours
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:The extreme cyclical sensitivity of shift work in the US is documented. The potential role of shift work in explaining the long-standing puzzle of procyclical productivity is also considered. A simple model is presented in which a 2-shift firm employs fewer workers on the 2nd shift because of the late-shift pay premium. When a downturn occurs, the 2nd shift is the first to be closed, and the proportional decline in output is greater than that in employment. The model accords with the common belief that procyclical capital utilization is a major element in procyclical productivity. It follows Lucas' (1970) model in recognizing that capital utilization is inextricably linked to the time pattern of labor use, and it extends his model to reflect the important role of discrete changes in shift operation.
ISSN:0002-8282
1944-7981